HOUSE OF REPRESENTATIVES	H.C.R. NO.	31
TWENTY-FOURTH LEGISLATURE, 2007
STATE OF HAWAII

HOUSE CONCURRENT

RESOLUTION

AUTHORIZING THE ISSUANCE OF A TERM, NON-EXCLUSIVE SURFACE EASEMENT AT KAHALUU, NORTH KONA, HAWAII.

WHEREAS, due to certain Supreme Court rulings regarding shoreline boundaries, it was determined that foundation pilings installed in the construction of the original Keauhou Beach Hotel (Hotel) were encroaching onto state lands at Kahaluu, North Kona, Hawaii, identified as Tax Map Key: (3) 7-8-013:43; and

WHEREAS, the Board of Land and Natural Resources on February 7, 1969, and by way of public auction, granted a term, non-exclusive surface easement for the encroachment identified as General Lease S-4227 to Island Holidays, Ltd.; and

WHEREAS, in connection with a sale of the Hotel in 1983, said easement was assigned to Ho’omahele, Ltd. and concurrently assigned to Kona Joint Venture I, Ltd. on August 31, 1983; and

WHEREAS, as a result of a bankruptcy case, said easement was then assigned to Azabu U.S.A. (Kona) Co., Ltd. in 1987; and

WHEREAS, in connection with another sale of the Hotel, said easement was again assigned, from Azabu U.S.A. (Kona) Co., Ltd. to SWVP Keauhou, L.L.C. in 1998; and

WHEREAS, at its March 24, 2006, the Board of Land and Natural Resources approved the further assignment of said easement, from SWVP Keauhou, L.L.C. to KBH, Inc.; and

WHEREAS, KBH, Inc., seeks to enter into a new sixty-five year ground lease with the Kamehameha Schools, the owner of fast land portion of the property that the Hotel sits on; and

WHEREAS, KBH, Inc., is simultaneously seeking cancellation of General Lease S-4227 and issuance of a new term, non-exclusive surface easement for sixty-five years, from the Board of Land and Natural Resources to run concurrently with the sixty-five year ground lease it hopes to attain from the Kamehameha Schools; and

WHEREAS, on January 12, 2007, under agenda item D-2, the Board of Land and Natural Resources approved the simultaneous cancellation of General Lease S-4227 and the direct issuance of a term, non-exclusive surface easement to KBH, Inc. for the use of public lands, subject to certain terms and conditions; and

WHEREAS, section 171-53, Hawaii Revised Statutes, requires the prior approval of the Governor and prior authorization of the Legislature by concurrent resolution to lease submerged public lands; now, therefore,

BE IT RESOLVED by the House of Representatives of the Twenty-fourth Legislature of the State of Hawaii, Regular Session of 2007, the Senate concurring, that the Board of Land and Natural Resources is hereby authorized to lease a term, non-exclusive surface easement at Kahaluu, North Kona, Hawaii, pursuant to section 171-53, Hawaii Revised Statutes; and

BE IT FURTHER RESOLVED that a certified copy of this Concurrent Resolution be transmitted to the Chairperson of the Board of Land and Natural Resources.

OFFERED BY:	_____________________________
	BY REQUEST

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